Contractors already under schedular payment rules

On this form, you pick the rate you would like tax to be deducted at. New Zealand tax residents can pick any rate from 10% up to 100%. If you want to change your current tax rate, complete this form and give it to your payer so they can make the changes.

On this form, you pick the rate you would like tax to be deducted at. New Zealand tax residents can pick any rate from 10% up to 100%.

The benefit of choosing the right rate means you are less likely to have a tax bill at the end of the tax year. Use Inland Revenue’s new tool to work out what the best rate is for you and your circumstances.

If you complete the form but don’t pick a tax rate, the labour hire business will deduct tax at 20%. If you don’t complete the IR330C, the no-notification rate of 45% will be deducted.

New Zealand tax residents can't apply for a certificate of exemption for these payments, but you may be able to apply for a 0% special tax rate instead. This includes companies.

Self-employed contractors

If you work directly for any business and are not required to have tax deducted by the hirer, the new rules allow you to choose to have tax deducted from your payments.

Both you and your payer must agree to this approach. If you both agree, complete the new tax rate notification form (IR330C). On this form, you pick the rate you would like tax to be deducted at. New Zealand tax residents can pick any rate from 10% up to 100%.

Keep a written record of the agreement. If you work for multiple businesses, each must agree to your request to have tax deducted. You’ll also need to give a completed IR330C form to each business.

If a payer doesn’t agree, you must continue to pay tax for that work as you were previously.

Interest charges for underpaying provisional tax are also changing.

Use-of-money interest is charged if your end-of-year earnings are higher than projected in your provisional tax bill. From the 2018 tax year, new rules on when this is charged mean fewer people will have to pay it.